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differences in risk premia. We deduct testable hypotheses on the basis of which we empirically analyze the impact of uncertainty …
Persistent link: https://www.econbiz.de/10010325977
differences in risk premia. We deduct testable hypotheses on the basis of which we empirically analyze the impact of uncertainty …
Persistent link: https://www.econbiz.de/10013159738
We study different determinants of real-life R&D decisions within a net present value framework. Besides entry threat, Bertrand competition and multi-stage R&D with an abandonment option, our model includes demand uncertainty, modelled as a lottery. A lottery becomes more divergent when the...
Persistent link: https://www.econbiz.de/10011298045
differences in risk premia. We deduct testable hypotheses on the basis of which we empirically analyze the impact of uncertainty …
Persistent link: https://www.econbiz.de/10011256227
differences in risk premia. We deduct testable hypotheses on the basis of which we empirically analyze the impact of uncertainty …
Persistent link: https://www.econbiz.de/10005016252
Persistent link: https://www.econbiz.de/10008494372
differences in risk premia. We deduct testable hypotheses on the basis of which we empirically analyze the impact of uncertainty …
Persistent link: https://www.econbiz.de/10005007713
We model a two-stage R&D project with an abandonment option. Two types of uncertainty influence the decision to start R&D. Demand uncertainty is modelled as a lottery between a proportional increase and decrease in demand. Technical uncertainty is modelled as a lottery between a decrease and...
Persistent link: https://www.econbiz.de/10008459849
We study different determinants of real-life R&D decisions within a net present value framework. Besides entry threat, Bertrand competition and multi-stage R&D with an abandonment option, our model includes demand uncertainty, modelled as a lottery. A lottery becomes more divergent when the...
Persistent link: https://www.econbiz.de/10011195722
This paper studies R&D investment decisions of a firm facing the threat of new technology entry and subject to technical uncertainty. We distinguish four scenarios: inevitable entry, entry deterrence, entry blockade, and non-credible entry threat. The entry threat stimulates the incumbent to...
Persistent link: https://www.econbiz.de/10013318769